Crowdfunding: What are the Tax Issues?
Fiona Martin, Ann O'Connell
Journal of Australian Taxation | Journal of Australian Taxation Pty Ltd | Published : 2018
This paper seeks to analyse the different tax issues that arise for each party to a crowdfunding arrangement. There are currently four main types of crowdfunding arrangements. These are commonly referred to as donation-based crowdfunding, reward-based crowdfunding, equity-based crowdfunding and debt-based crowdfunding. Each uses a different strategy to attract funding and each may have different tax consequences for the parties involved.